Chairman's Message

董事長

The 2014 Fubon Corporate Social Responsibility Report is the fifth CSR report issued by Fubon Financial Holdings to receive international certification. In the process of compiling the report, we were able to reexamine our CSR practices. Where we performed well, we have continued to remain diligent, and where we fell short, we have looked hard at our practices and learned from benchmarking.

2014 was another exciting year. Thanks to the hard work of everybody in the Fubon family, we once again outdid ourselves. After-tax profit was NT$60.2 billion, the highest in Taiwan's financial services sector not only for the sixth consecutive year but also in the sector's history. As our earnings set new records, we are even more determined to fulfill our corporate social responsibility and live up to the expectations of all of our stakeholders.

We truly believe that our people are instrumental in Fubon scaling new heights, and we give them every opportunity to thrive. The Fubon Group has steadily expanded its reach, offering employees a broad stage on which to develop their careers; provided talent cultivation courses, empowering them to continue to grow; and optimized the work environment, helping them maintain a healthy work-life balance. We have also introduced regular “Town Hall Meetings” in which Fubon's chairman and vice chairman discuss the company's prospects with employees face-to-face, listen to their ideas and build consensus.

At the same time, our commitment to using our core financial competencies to promote financial education remained as strong as ever in 2014. Our “Budding Tycoon Outreach Program” made its way to 54 schools around the country, with Fubon Financial Holdings and Taipei Fubon Bank executives personally giving talks. Beyond getting students to think about their attitudes toward money and imparting money tips, the program also taught them that success cannot be measured by wealth alone and helped them appreciate the importance of intangible assets such as friendship and credibility.

Pollution and food safety headaches were commonplace in Taiwan in 2014, sparking widespread debate. Wecame to realize that failing to confront such issues as climate change, environmental pollution and labor issues can easily translate into major operational risks. As a result, we began examining our investment policies and approaches to managing investments and developed a “green credit” program based on the Equator Principles, enabling Fubon to further benefit the environment and society.

Though we had an excellent year in many respects, we were saddened by the loss of the beloved founder of the Fubon Group, Chairman Wan-Tsai Tsai. Chairman Tsai was both a down-to-earth entrepreneur and a master at managing risk who put the highest priority on keeping risk in check. He built a general insurance company with a staff of 10 into the financial holding company with the broadest product line in Taiwan and drew on the vision of a stable and prosperous country (富國安邦) to name the group “Fubon” (富邦). Even when the business was thriving, Chairman Tsai repeatedly reminded his colleagues to always anticipate problems and never get complacent.

Chairman Tsai adhered to Fubon's three tenets – “integrity, diligence and modesty” – his entire life, and these same standards guide the conduct of every Fubon employee at work and in their daily lives. ChairmanTsai also advocated “putting back into society what one reaps from society,” hoping that as Fubon prospered it would not forget to give back and become a “social catalyst.” Fubon will carry forward this spirit and dedicate itself to promoting social welfare as an expression of our corporate social responsibility.

Looking ahead to 2015, there will likely be a greater risk of market volatility because of the diverging economic performances and monetary policies of the world's major economies. But a rebounding U.S. economy and a more stable Chinese economy should be favorable to Taiwan's economic growth. Fubon Financial Holdings will continue to develop its network in Greater China and embrace the growing trend toward digitization in the financial services sector. Several innovative mobile banking services are being developed to coincide with the government's “Bank 3.0” initiative.

As Fubon continues to nurture its business, it will also apply its core competencies to corporate social responsibility and align itself with government policies on social issues. Fubon subsidiaries , for example, have developed social products and businesses such as green loans and supported cultural and creative enterprises. Though the initiatives are still in their initial stages and revenues and earnings remain limited, it will be impossible for trees to grow in the future if we don't plant the seeds now.

We truly believe that through our commitment to corporate social responsibility, we will be able to solidify the foundation of Fubon's brand strength and enhance society's recognition of Fubon, enabling us to become a positive force in society.